L'Oréal (OR) investor relations material

Conference and Market Overview

• The event gathered over 120 companies with a combined market cap exceeding EUR 5 trillion, focusing on trends like AI adoption, consumer bifurcation, and channel shifts.

• Beauty industry demonstrated strong resilience during economic downturns, maintaining positive growth even through global crises, with market growth rates rebounding quickly after each event.

• The beauty market continues to expand, driven by new services, categories, and technologies, with ongoing vitality and innovation.

• Q1 2026 saw a very strong start with market growth at +6.7%, and projections for 2025 and 2026 indicate continued robust performance.

• L'Oréal's management opened with a review of the company's winning model, highlighting resilience and innovation in the beauty industry.

Market Performance and Growth

• Beauty market remains resilient, growing near 4% despite global tensions, with L'Oréal outperforming at +6.7% in Q1, driven by innovation and strong regional/divisional growth.

• Growth was observed across all divisions and regions, with particularly high growth in Dermatological Beauty (+10.2%) and Professional Products (+13.1%).

• All regions and divisions showed positive growth, with double-digit gains in emerging markets and the Professional Products Division.

• The company holds the #1 position in global beauty rankings by sales for 2025, outperforming major competitors.

• Dermatological Beauty and Luxury divisions accelerated, with innovation as a key driver for sustained outperformance.

Strategic Growth Drivers and Portfolio

• Acquisitions have contributed to over a quarter of total group growth over the past decade, with recent additions including premium and science-driven brands.

• The brand portfolio spans premium to accessible price points, supporting internationalization and presence in over 40 countries.

• Multi-division and category strategies enable leadership in fragrances, make-up, skincare, and haircare, with global leadership in perfumes and make-up.

• Accelerated innovation pace, with product launches contributing over 350 basis points to growth in Q1.

• The company is accelerating in new channels, particularly e-commerce and selective retail, with omni-channel strategies driving growth.